LVMH, which is largest luxury goods conglomerate in the world, plans to cut dividends by 30 per cent to €4.80 per given the current financial landscape. Chairman and CEO Bernard Arnault and the members of LVMH’s executive committee have already waived their salaries for the months of April and May, and will forgo their bonus compensation for the whole year.
LVMH generated revenue of €10.6 billion ($11.48 billion) for the first quarter of 2020. A 15 per cent drop for the three-month period ending March 31, with sales falling across all of its business segments – from its fashion and leather Goods group and perfumes and cosmetics division, where sales decreased 18 per cent, to watches and jewelry, and selective retailing, which saw sales sink by 24 and 25 per cent, respectively.
